The Agriculture and Food Industry Ministry is satisfied with the performance of the National Farmers' Organisation (NAFAS) in managing the supply of subsidised fertilisers to farmers.

Its minister, Datuk Seri Dr Ronald Kiandee said, NAFAS had been doing well despite earlier hiccups in the distribution process.

“In general, NAFAS has carried out its responsibilities to distribute and deliver the subsidised fertilisers to farmers in an efficient and organised manner,” he told reporters after visiting NPK Fertilizer Sdn Bhd here today.

Asked whether the tender to supply subsidised fertilisers would be open or granted directly to the NAFAS-owned NPK Fertilizer, Kiandee said the government would decide on this.

“At present, NAFAS’ contract with the government has been extended until 2021, and there is still no new decision (on the tender). Thus, NAFAS is still handling (the supply of) these subsidised fertilisers,” he said.

Kiandee said the government would always take into account the interests of the farmers and NAFAS as the organisation is part of the farmers’ big family.

In his speech, Kiandee said the ministry has been instructed to conduct an extensive study on the implementation of a better subsidy and incentive scheme for paddy planters.

The relevant agencies including Farmers’ Organisation Board (LPP) and NAFAS would be presenting recommendations on subsidy reforms in the country, he added.

“The government is committed and will continue to provide various subsidies and incentives for farmers to increase paddy and rice productions, besides helping to reduce the production costs that they have to bear.

“However, subsidy and incentive management should be implemented more efficiently and effectively,” he added. - BERNAMA